Gateshead Council launches ambitious new homes programme
We have bold plans to deliver more than 500 new council homes over the next five years. New affordable homes will be delivered through a mixture of new build, regeneration projects and purchases, as part of our Housing Revenue Account (HRA) development programme.
The scale of the challenge is clear. The need for affordable housing in Gateshead is high, so the HRA programme aims to increase the supply of high-quality, affordable homes and will prioritise Social Rent where possible.
Among the first projects to begin is at Penrith Grove in High Fell, a small but significant development that demonstrates how the council intends to transform underused land into much-needed homes. The development, which is being delivered in partnership with specialist contactors HUSK, will see the conversion of a disused garage site into five modern two-bed bungalows.
The project not only addresses the shortage of affordable homes but also resolves ongoing issues with the garage site, including maintenance costs and antisocial behaviour. By repurposing brownfield land, we're creating homes that promote wellbeing and community sustainability.
The new bungalows will be very energy-efficient, incorporating air source heat pumps to lower energy bills and meet future building regulations. They are also designed to be accessible and can be adapted for people with mobility needs, making them suitable for the needs of tenants over their lifetimes.
Planning permission was granted in April 2025, and with the appointment of HUSK, work on the conversion is expected to start in Spring 2026, with construction expected to last eight months. Once complete, the homes are expected to be available for Social Rent, making them affordable for local residents most in need.
Councillor Chris Buckley, Cabinet Member for Housing, said:
"Penrith Grove shows exactly what we want to achieve across Gateshead—good quality, affordable, energy-efficient homes built where people need them most. By transforming disused sites into places people can thrive, we're making our communities stronger and supporting residents who urgently need a safe, sustainable home."
Ellen Hagan, Construction and Partnerships Director at HUSK, said:
"We're delighted to be partnering with Gateshead Council, bringing our unique housing to another part of the North East. Our patented system of building transforms a row of garages into a beautiful, sustainable home. We strongly believe that what we offer is true regeneration, providing communities with homes that meet real housing needs - and we are very excited to bring this to Gateshead."
As we increase our housebuilding, Penrith Grove is the first of many new developments that will improve neighbourhoods, give people more housing options, and help address Gateshead's most serious housing challenges.
We have bold plans to deliver more than 500 new council homes over the next five years. New affordable homes will be delivered through a mixture of new build, regeneration projects and purchases, as part of our Housing Revenue Account (HRA) development programme.
The scale of the challenge is clear. The need for affordable housing in Gateshead is high, so the HRA programme aims to increase the supply of high-quality, affordable homes and will prioritise Social Rent where possible.
Among the first projects to begin is at Penrith Grove in High Fell, a small but significant development that demonstrates how the council intends to transform underused land into much-needed homes. The development, which is being delivered in partnership with specialist contactors HUSK, will see the conversion of a disused garage site into five modern two-bed bungalows.
The project not only addresses the shortage of affordable homes but also resolves ongoing issues with the garage site, including maintenance costs and antisocial behaviour. By repurposing brownfield land, we're creating homes that promote wellbeing and community sustainability.
The new bungalows will be very energy-efficient, incorporating air source heat pumps to lower energy bills and meet future building regulations. They are also designed to be accessible and can be adapted for people with mobility needs, making them suitable for the needs of tenants over their lifetimes.
Planning permission was granted in April 2025, and with the appointment of HUSK, work on the conversion is expected to start in Spring 2026, with construction expected to last eight months. Once complete, the homes are expected to be available for Social Rent, making them affordable for local residents most in need.
Councillor Chris Buckley, Cabinet Member for Housing, said:
"Penrith Grove shows exactly what we want to achieve across Gateshead—good quality, affordable, energy-efficient homes built where people need them most. By transforming disused sites into places people can thrive, we're making our communities stronger and supporting residents who urgently need a safe, sustainable home."
Ellen Hagan, Construction and Partnerships Director at HUSK, said:
"We're delighted to be partnering with Gateshead Council, bringing our unique housing to another part of the North East. Our patented system of building transforms a row of garages into a beautiful, sustainable home. We strongly believe that what we offer is true regeneration, providing communities with homes that meet real housing needs - and we are very excited to bring this to Gateshead."
As we increase our housebuilding, Penrith Grove is the first of many new developments that will improve neighbourhoods, give people more housing options, and help address Gateshead's most serious housing challenges.
